Overview of Inflation Trends in Buenos Aires
The inflation rate for the City of Buenos Aires increased to 2.1% in June 2025, following a 1.6% rise in May. Over the first half of the year, inflation has accumulated a 15.3% increase, according to data from the City’s Statistical Institute.
Key Sectors Driving Inflation in June
The primary contributors to the inflation rate in June were:
- Housing, Water, Electricity, Gas, and Other Fuels: This sector saw a 3.1% increase due to rises in housing expenses and rental costs.
- Transportation: With an average increase of 3.1%, this was largely due to adjustments in urban bus fares and home vehicle fuel prices.
- Health: Prices rose by 2.6% due to updates in private medicine premiums.
- Food and Non-Alcoholic Beverages: This sector increased by 1.6%, contributing 0.28 percentage points to the overall rise.
- Accommodation and Food Services: Prices went up by 1.5% due to increased food preparation costs in restaurants, bars, and eateries.
Breakdown of Inflation Contributions
While some sectors increased less than the overall rate, Food and Non-Alcoholic Beverages (1.6%) and Accommodation and Food Services (1.5%) together accounted for 74.4% of the overall increase.
Within Food and Non-Alcoholic Beverages, meat and meat products (1.8%), bread and cereal products (2.4%), and milk, dairy products, and eggs (1.1%) saw the most significant price hikes. Meanwhile, vegetables, tubers, and legumes (-1.4%) experienced a decline, helping to offset pressure in this category.
Price Relativity Adjustments
The trend of “price relative adjustments” continued, with services increasing by 2.6% and goods rising by 1.4%. This pattern has been observed over the first half of the year, with goods accumulating a 11.2% increase and services rising by 17.9%.
In annual terms, both categories have slowed down: goods at 29.6% (down 1.7 percentage points from the previous month) and services at 55.3% (down 5.7 percentage points).
National Inflation Projections
The Argentine National Institute of Statistics and Census (INDEC) will announce the June inflation rate on the upcoming Monday. Despite some government officials’ projections of near-zero inflation, the data is expected to show a rebound from May’s rate. Private consultancies’ recent surveys indicate that the overall inflation figure will exceed 1.5% from May.
Orlando Ferreres & Associates projects a monthly inflation rate of 1.9% for July and an annual growth of 37.9%. EcoGo estimates a 1.9% monthly price variation for June, leading to an accumulated 15.5% inflation rate in 2025 so far. Equilibra’s survey placed the Food and Beverages category as having one of the smallest increases in June, with a 1.3% rise.
Key Questions and Answers
- What is the inflation rate for Buenos Aires in June 2025? The inflation rate increased to 2.1%.
- Which sectors contributed the most to inflation in June? Housing, Water, Electricity, Gas, and Other Fuels (3.1%), Transportation (3.1%), Health (2.6%), Food and Non-Alcoholic Beverages (1.6%), and Accommodation and Food Services (1.5%) were the primary contributors.
- What are the projected inflation rates for July 2025? Orlando Ferreres & Associates projects a monthly inflation rate of 1.9% for July, with an annual growth of 37.9%. EcoGo estimates a 1.9% monthly price variation for June, leading to an accumulated 15.5% inflation rate in 2025 so far.
- What is the expected national inflation rate for June 2025? Despite some projections of near-zero inflation, private consultancies’ recent surveys indicate that the overall inflation figure will exceed 1.5% from May.
